Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. As of today (2024-05-07), KKR Financial Holdings LLC's Beta is Not available.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Competitive Comparison of KKR Financial Holdings LLC's Beta
For the Mortgage Finance subindustry, KKR Financial Holdings LLC's Beta, along with its competitors' market caps and Beta data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
KKR Financial Holdings LLC's Beta Distribution in the Banks Industry
For the Banks industry and Financial Services sector, KKR Financial Holdings LLC's Beta distribution charts can be found below:
* The bar in red indicates where KKR Financial Holdings LLC's Beta falls into.
KKR Financial Holdings LLC Beta Calculation
Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. A stock's beta can be calculated by dividing the product of the covariance of the individual stock's returns and the market's returns by the variance of the market's returns over a specified period. Basically, GuruFocus uses the returns calculated over three-year period.
Beta is a measure of the volatility, or systematic risk, of a security or a portfolio in comparison to the market as a whole. We usually compare beta to 1. A beta of 1 indicates that the security's price will move with the market. A beta of less than 1 means that the security will be less volatile than the market. A beta of greater than 1 indicates that the security's price will be more volatile than the market.
Beta is primarily used in the Capital Asset Pricing Model (CAPM) to calculate the Cost of Equity, which can be used in the calculation of WACC %. The formula of Cost of Equity is:
Cost of Equity = Risk-Free Rate of Return + Beta of Asset * (Expected Return of the Market - Risk-Free Rate of Return)
KKR Financial Holdings LLC Beta Related Terms
Thank you for viewing the detailed overview of KKR Financial Holdings LLC's Beta provided by GuruFocus.com. Please click on the following links to see related term pages.
KKR Financial Holdings LLC (KKR Financial Holdings LLC) Business Description
Originally formed as a real estate investment trust in July 2004, KKR Financial converted to a partnership structure in May 2007 and now invests primarily in corporate loans and other securities (much of it tied to the leveraged buyout deals done by Kohlberg Kravis Roberts). KKR Financial is externally managed by KKR Financial Advisors, which is responsible for the company's operations and performs all services and activities relating to the management of its assets.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
KFNPCL.PFD has been successfully added to your 